Standard & Poor's Ratings Services (S&P) has upgraded
the corporate credit rating of
) from BB to BB+. The rating agency has also upped the company's
unsecured debt rating to investment grade of BBB- from BB+.
Additionally, S&P has given the Kansas City, MO-based retail
real estate investment trust (REIT) a stable outlook, which denotes
the company's capability to expand in a leveraged-neutral manner.
EPR Properties' strong balance sheet and solid rent coverage,
driven by a diversified tenant base, might have prompted S&P to
upgrade the rating. This upgrade is expected to considerably boost
investors' confidence in the stock.
Notably, EPR Properties is a specialty REIT investing in properties
in three primary market segments - Entertainment, Recreation and
Education. The company follows a conservative approach in financing
the investments geared towards the specialty segments. It sticks to
rigorous underwriting standards while simultaneously aiming at
offering stable and attractive returns to investors. All these
positives might have triggered the rating upgrade of the company.
EPR Properties currently carries a Zacks Rank #4 (Sell). Some
better-ranked retail REITs include
Acadia Realty Trust
National Retail Properties, Inc.
Regency Centers Corporation
). All these stocks hold a Zacks Rank #2 (Buy).
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EPR PROPERTIES (EPR): Free Stock Analysis
REGENCY CTRS CP (REG): Free Stock Analysis
ACADIA RLTY TR (AKR): Free Stock Analysis
NATL RETAIL PPT (NNN): Free Stock Analysis
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